A sales-qualified lead is a prospect that sales has reviewed and accepted as a genuine opportunity worth pursuing. An SQL has met criteria for fit, need, and intent, making it more likely to close than a marketing-qualified lead. It marks the point where a contact becomes a real pipeline.
The SQL is where marketing activity finally meets sales reality. The number that matters is the MQL-to-SQL conversion rate, because it exposes whether marketing is sending sales real opportunities or just busywork. A low rate means your lead generation is filling the pipeline with names that waste selling time.
Example:
Marketing passes 50 MQLs to sales. Sales accepts 12 as worth pursuing. The MQL-to-SQL rate is 24%, and those 12 are the real pipeline.
Who decides if a lead is an SQL?
Sales do. An SQL is a lead the sales team has vetted and accepted as a legitimate opportunity, unlike an MQL, which marketing defines.
What is a healthy MQL-to-SQL conversion rate?
It varies by business, but tracking the trend matters more than the absolute number. A falling rate signals declining lead quality.